Natco takes a beating on FDA observation

MUMBAI: Pharmastocks had a seesaw ride on Monday, with many scrips falling led by Natco Pharma that got badgered because of observations by the US Food and Drug Authority. Natco shares fell by 12.6% to close atRs 409.30 on the BSE as the company notified that USFDA has inspected two of its manufacturing facilities in Chennai and Hyderabad.

Natco, however, said the observations were “minor” and the company has submitted its response and compliance report. “The company believes there would be no adverse impact to its current or future pipeline products coming from these facilities,” M Adinarayana, company secretary at Natco Pharma, said in a note to the press.

BIOCON JUMPS ON JAPANESE APPROVAL While Natco and some other pharma stocks including Sun Pharmaceuticals and Cipla slipped, Bengaluru-based Biocon’s shares rose as the company, along with its partner Fujifilm Pharma, received an approval for its biosimilar insulin Glargine from Japan’s ministry of health.

The Glargine market is estimated to be nearly $144 million, or about Rs 960 crore, in Japan with three global players — Sanofi, Eli Lilly and Boheringer Ingelheim — already in the market. Biocon is expected to launch its product in the first quarter of 2016-17.

“The insulin Glargine approval in the highly regulated market like Japan marks a huge credibility milestone for Biocon. The per capita spending on pharma in Japan is the second highest after the US and the government is striving to rationalise healthcare spends by encouraging the entry of high quality yet affordable follow-on biologics,” Biocon managing director Kiran Mazumdar Shaw said. “This approval will enable Biocon to address the growing needs of diabetes patients in Japan which reported 7.2 million cases in 2015,” she said. Biocon shares closed at Rs 479.05 up by 3.3% on the BSE after hitting an intra-day high of Rs 485.30. The healthcare index closed on a negative.

Meanwhile, Ahmedabad-based Cadila Healthcare said it has acquired the brand Actibile from Mumbai-based Albert David for an undisclosed amount to strengthen its gastro therapy portfolio. Actibile is used to treat gallbladder stones. Cadila shares closed at Rs 318.90 on the BSE, marginally down by 0.44%.

With immense pride “India Live” celebrated its 10th national conference in Mumbai from 28th February to 3rd March 2019. The conference turned out to be a gold mine of information, with emphasis on academics, education and exchange of knowledge with leaders in interventional cardiology from both India and abroad.